My guess is the Problem they really fear is when they release an offline client that you would have to store information on your computer which normally is stored in their servers which allows people to "steal" their client and copy their game and for example create own servers and such.
That is also the reason why the NA LCS which is made by Riot themself has an LAN LoL Client and the EU LCS has to use the normal client which we use because it is sponsored by ESL(?)

Not really O.O I still play him situational in ranked Gold/Plat with Static shiv infinity warmogs as my core items.
He is still strong and can be picked and i don't think that they should rework his kit.

Kha Zhix probably need the blue more cause he needs the mana for his w poke and ez only needs the cd reduction from blue so he could just buy a blue elexir.
Also ez blue build is much cheaper than his normal build or kha build

The problem is balancing it would be hard to create a game mode where you don't need to change numbers on champions for competitive game play (testing the new map for over 100 champions and matchups is hard)